Discuss any six economic problems hindering industrial development in the third world

      

Discuss any six economic problems hindering industrial development in the third world

  

Answers


Dana
Lack of capital: lack of adequate funds to invest in industrial development occasioned by high population growth rate and rampant poverty in the third world countries has forced these countries to rely on loans, grants and aid from the developed world. These are often attached to very high interest rates
Lack of skilled manpower: third world countries lack skilled manpower due to poor education system and as a result rely on foreign expatriates who are expensive to hire and maintain and these greatly drain the scarce financial resources in these countries
Poor infrastructure: poor infrastructure such as poor transport and communication systems greatly hinder the transportation of raw materials to industries and finished goods to the market
Stiff competition: third world countries face competition from quality and cheaply produced goods form the developed countries
Poor economic policies: poor economic policies do not provide a conducive and enabling environment to attract foreign investment
High poverty levels: there is low purchasing power in these countries because of poverty in the third world. Besides, people also prefer imported goods other than locally produced goods

Dana05 answered the question on June 14, 2019 at 11:58


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